3 Reasons to Start A TNVS Business


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The dawn of ride-sharing and ride-hailing apps like Grab, Hype or Owto brought about a new transport phenomenon in the country especially in big cities where campuses and business centers are situated.

These platforms quickly became the go-to alternative when taxis and other public transport are scarce. In fact, they have become the preferred commute option for majority of the Juan dela Cruz nation.

The trend led to the formation of TNVS (Transport Network Vehicle Service) which refers to the regulation of all existing app-based ride-hailing
services.

Going back, many commuters now use the services, leading many vehicle owners to consider earning extra income from TNVS.  This is the first reason why car owners apply for TNVS.

If you have extra vehicles too and wish to register for TNVS permit, but are looking for more reasons before finally doing so, then here’s more:

  1. 1 More customers are waiting for you

    Already a big chunk of the Filipino riding public relies on the efficiency of TNVS. Evidently, homegrown digital data analytics company Research and Tech Lab (RTL) studied 781 publicly shared sentiments across the social media platforms and revealed that almost half or 46.47% online Filipinos choose TNVS as their primary of transportation. 

    As noted by Top Gear:

    "Taxi drivers charge me extra or they never have exact change. Also, I don't feel safe in a cab. Uber has made my life so much easier—four taps (on my smartphone) and I'm all set. I don't have to pay for gas or parking fees. Plus, I can nap during rush hour!" - Janelle, 28, project manager

  2. 2 More Customers, Higher Income

    It’s automatic. Logic has it that the more customers there are, the higher your income will be and the faster is your ROI. 

    With over 600,000 people hailing TNVS services every day, you might even need to work whole day to serve these many people. But the good side is you’ll earn your upkeep faster and you’ll get a lot of extra income for your luxuries and savings.

    According to statistics, Grab drivers can earn as much as 5.50 Php per minute or 330 Php per hour. This is for drivers who drive their own Grab service vehicles. This becomes lesser amidst traffic, where it takes drivers more time to drop off one passenger.

  3. 3 Relatively Easier Job Than Others

    Yes, driving can be difficult at times most especially when it’s raining and the traffic is at its heaviest. But driving is obviously an easier job than plowing fields or carrying tons of loads at the port or torturing your skin and body at the construction site.

But What Are The Things You Need to Know Before Joining TNVS Companies

The last time the Land Transportation Franchising and Regulatory Board (LTFRB) opened the TNVS applications was last March 2018. But after more and more people are switching to Grab, LTFRB once again accepted 10,000 new TNVS applicants which started on June 10, 2019.

The addition of more TNVS vehicles is expected to bring more passengers home safely even after their OT shifts.

But be aware that TNVS companies in the Philippines will accept your application only if you meet all these conditions:

  • You have a car. This one is obvious, but a lot of people are asking TNVS companies on social media if they can apply even without a car.
  • You’re included in the LTFRB’s audited master list of TNVS operators and drivers.
  • You have a valid permit from the LTFRB to operate as a TNVS driver or operator. The LTFRB issues two kinds of TNVS permits: the Provisional Authority (PA) valid for 45 days and the Certificate of Public Convenience (CPC) valid for two years.

You can’t register and drive for any transport network company without the PA or CPC permit from the LTFRB. Otherwise, your car will be considered a colorum or an illegally operating vehicle. If your PA or CPC is already expired, you’ll have to renew it at the LTFRB Central Office in Quezon City.

And for those who have not yet applied but are planning to, here’s how you can register according to LTFRB:

Registering for TNVS New CPC Application

  • The application for TNVS is open for Metro Manila only.
  • Open the link of LTFRB – ltfrb.ph.net/tnvs
  • Fill up the form provided by the system with correct and complete details and information.
  • Follow the steps provided by the system.
  • A confirmation email will be sent to you for your registration and appointment date.
  • Print the confirmation email and bring it during your appointment date.
  • Print the application form and have it notarized.

Requirements for Applying for New CPC (Certificate of Public Convenience)

  • Four (4) copies of verified application alleging proof of citizenship and financial capacity with annexes and verification and certification of non-forum shopping.
  • Proof of Filipino citizenship (any of the following) authenticated birth certificate from Philippine Statistics Authority, Valid Philippine Passport, Voter’s ID, Marriage Certificate
  • Government Issued ID with picture; (Present Original)
  • LTO OR/CR of Authorized unit/s or sales invoice and delivery receipt with year model in the nme of the applicant;
  • Operator’s data sheet with complete details, latest picture and valid driver’s license/s of authorized driver/s.

Process Flow

Step 1 – Verification of name in the database.

Step 2 – Evaluation of requirements.

Step 3 – Issuance of payment order slip. 

Step 4 – Payment

Step 5 – Receiving of Application

Additional Requirements to Bring During the Hearing

  1. Bank Certificate of Conformity (if the Unit is under financing)
  2. Proof of Existence and Sufficiency of Garage
    a. Location map;
    b. Dimension of Garage
    c. If the applicant is the owner of the garage, Transfer Certificate of Title
    (TCT)/Tax Declaration in the name of the applicant; if not, notarized
    Contract of Lease/Authority to use with TCT of Lessor;
    d. LGU Zoning Certificate for the location of the garage for three (3)
    units
  3. Proof of Financial Capability
    a. Certified True Copy of latest Income Tax Return received by the BIR
    or BIR Form 2136
    b. Proof of Bank Deposit in the amount of Php 50,000.
  4. 5R Photograph of units subject of the application.
    (Front Back and sides of the vehicles)
    Note: Photo should include the front page of a Newspaper to show
    the date when the pictures were taken.
  5. DTI Business Name Registration
  6. BIR Certificate of Registration to engage in Transport Service or Proof of
    Filing
  7. Proof of Publication
    a. Affidavit of Publication by the publisher
    b. Copies of Publication

Payments for the Application

Filing Fee – PhP 510.00 first 2 units
Additional PhP 70.00 for 3rd unit
LRF – PhP 10.00
Inspection Fee – PhP 50.00
PA Fee – PhP 250.00

Final Thoughts

As you’ve seen or heard in the news lately, the LTFRB is very strict with the compliance of TNVS companies to the regulatory board’s franchising rules. This is why it’s much harder to apply as a TNVS driver or operator now than it was 2-3 years ago.

The TNVS application steps and requirements discussed above may change over time. Make sure to follow the social media accounts of the TNVS companies you want to apply for to keep yourself updated on any new rules for TNVS driver or operator application.


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Gabriel

Introvert, wanderer, blogger, foodie, a hip-hop music writer, and one of the co-founders of a tech start-up company called GigsManila.